Earth Infrastructure case: clarification on ED charges of ₹140 crore and ₹2,004 crore fraud

The Enforcement Directorate (ED) seized property worth ₹140 million belonging to Earth Infrastructure Ltd, its subsidiaries, promoters, their family members and associated entities as part of a money laundering investigation into an alleged fraud involving ₹2,004 million crowns.

Delhi Zonal Office-II ED has attached immovable properties associated with the company and its founders, including Avdhesh Kumar Goel, Rajnish Mittal, Atul Gupta and Vikas Gupta, among others.

What is the case about?

According to the ED, Earth Infrastructure Ltd and its associated entities were allegedly selected ₹2,004 crore from over 19,425 home buyers and investors by promising timely delivery of residential and commercial units along with assured returns.

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However, the agency claimed that despite receiving substantial amounts, several projects remained incomplete and possession of the promised units was not handed over to the buyers. This allegedly caused financial losses to home buyers and investors.

The ED investigation also revealed that a substantial amount of funds were allegedly diverted and siphoned off through various group companies, associated entities and individuals.

How were the funds allegedly diverted?

The money laundering probe was launched following five FIRs registered by the Economic Offenses Wing (EOW) of the Delhi Police against Earth Infrastructure Ltd, its directors and related entities under various provisions of the Indian Penal Code.

Separately, the Serious Fraud Investigation Office (SFIO) filed criminal charges against the promoters and directors of the Earth Group under Section 447 of the Companies Act.

The ED said its investigation found that proceeds allegedly generated from scheduled crimes were used in part to acquire movable and immovable properties in the names of entities and individuals associated with the group’s promoters and directors.

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In a statement, the agency said: “The investigation further revealed that a portion of the proceeds of crime derived from the planned crimes were used to acquire movable and immovable property in the names of various entities and individuals associated with the group’s organizers/directors.”

ED searches, arrests and prior seizure of property

In April 2026, the ED conducted searches at several premises associated with the Earth group in Delhi-NCR under the Prevention of Money Laundering Act (PMLA).

During the searches, the agency seized cash ₹6.30 crore and jewelery worth ₹8.78 million crowns. It also repossessed documents relating to more than 100 properties estimated to be worth more ₹100 million crowns.

The ED subsequently arrested Avdhesh Kumar Goel, Rajnish Mittal, Atul Gupta and Vikas Gupta on June 1 under Section 19 of the PMLA, 2002.

“Investigation established the central role of Avdhesh Kumar Goel, Rajneesh Mittal, Atul Gupta and Vikas Gupta in planning and executing the fund diversion through a complex web of transactions. They were arrested on June 1 under Section 19 of the PMLA Act, 2002 after due process of law,” the ED said in a statement.

The agency filed an indictment against the accused on July 29, seeking their conviction and confiscation of assets worth more than ₹212 million.

Total range of attachments and seizures ₹352 million

With the latest property foreclosures in value ₹140 crore, the ED said the total value of attachment and seizure in the case reached ₹352 crore, including seizure under Section 17 of the PMLA.

The investigation continues to focus on tracing the alleged proceeds of crime, the movement of funds through entities associated with the Earth Group, and the acquisition of real estate allegedly linked to the crime of money laundering.

(With inputs from news agency ANI)